“What does it really take for a small-business owner to get a loan from a bank today?” is one of the top questions our bankers hear.

According to the latest Wells Fargo/Gallup Small Business Index, cash flow and revenue are key concerns for small-business owners today.

Many business owners entered the Great Recession carrying high levels of debt. As consumer spending dropped, sales declined and those business owners had a harder time obtaining credit.

At Wells Fargo, we saw a modest increase in loan demand in the first half of the year. The businesses applying for loans today are stronger than they were a year ago, and as stronger businesses come to Wells Fargo for loans, we are able to say “yes” to more small business owners.

So to help even more small businesseshear “yes,” here are five things small business owners need to know when applying for a small business loan:

1.Cash: Show that your business generates steady cash flow. Cash flow is a key indicator of a business’ health and its future prospects. When you can show reliable cash flow for your business, your bank can see that you have the resources to pay for new loans.

2.Debt: Make sure your current debt load is manageable. Your bank wants to make sure your business has the ability to take on additional debt and is in a strong financial position to manage its debt payments.

3. Payment: Maintain a good payment history. Before extending credit, a financial institution needs to be confident a business has the ability repay. Your payment history provides an important record of your ability to responsibly pay down debt. Obtaining a debit or credit card is a good way to begin building a payment history for your business. Your bank can then become more familiar with you, your business, and your payment history, which gives it more information to evaluate when it’s time to apply for additional financing.

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